Phoenix Petroleum Philippines has successfully listed 20 million perpetual preferred shares on the Philippine Stock Exchange (PSE), raising P2 billion from the offering.
Phoenix, in a disclosure on Monday, said it was the company’s biggest equity public offer to date. The shares were listed on December 18.
Raymond Zorilla, Phoenix Petroleum assistant vice president for external affairs, said the funds would be used for expansion, to include more service stations and oil depot capacity.
Phoenix Petroleum said the issuance was at least three times oversubscribed.
The preferred shares were priced at P100 per share and issued in two series – PNX3A, with a dividend rate of 7.4278 percent per annum, and PNX3B, with a dividend rate of 8.1078 percent per annum.
On its first trading day, PNX3A traded at a high of P104.50 and closed at P103.90 with a turnover of P1.944 million.
PNX3B, meanwhile, traded at a high of P106.90 and closed at P105.70 with a turnover of P8.140 million.
Serving as joint lead underwriters for the issuance were PentaCapital Investment Corporation, Multinational Investment Bancorporation, and AB Capital and Investment Corporation.
Multinational Investment Bancorporation Chairman and President Marilou Cristobal said: “The preferred shares will fund key expansion projects of the company that will help maintain their position as the top independent oil player.”
PentaCapital Investment EVP-CFO/Treasurer Jose Ma. de Leon said they were proud to assist Phoenix in its “latest and largest undertaking.”
“With their consistent track record of performance, we want to help Phoenix achieve their vision of becoming a bigger player in the oil industry,” de Leon said.
He noted that PentaCapital had had underwritted Phoenix Petroleum’s first and second perpetual preferred share issue in 2010 and 2013.
AB Capital & Investment Corp. President Senen Matoto said: “We are pleased to again have contributed to the continuing significant role that Phoenix Petroleum has played in the development of the local capital market through their hugely successful public offerings of initially their P3.5-billion STCP followed by the most recent issuance of their P2-billion preferred shares.”